The Canadian dollar is flat on Friday, trading at 1.3258 in the European session. Canada releases GDP for May later on Friday. The consensus stands at 0.2% m/m, which translates into 2.4% annualized, a respectable gain. If the GDP report beats the consensus, the Canadian dollar could post gains. Canada's economy showed strength in the first quarter, with a gain...
Technical Analysis: Last week’s price action put NASDAQ:QQQ back inside the bullish channel we’ve been watching since March. We should see come corrective price action this week before tech runs higher. Bulls will look to see if we can stay above last week’s lows at 360. It is crucial bulls hold this level or we could see the daily fair value gap that could be...
Last week’s newsletter, we leaned bearish and the market made lower lows 4 out of the 4 trading sessions. With more fed speakers this week, PCE and Consumer Confidence data releases, and political turmoil in Russia, uncertainty can cause volatility in the market bringing down equities. Technical Analysis: AMEX:SPY is still due for a retest of the bull flag...
AMEX:GLD is hot on my watch list as uncertainty in the world markets should cause investors to park their money in gold. AMEX:GLD is down -4% for the quarter and is due for a rebound. Technical Analysis: AMEX:GLD has been consolidating in a falling wedge and is approaching the .618 retrace at 177.24. I lean bullish on AMEX:GLD as long as we don’t break...
The Canadian dollar continues to rally. USD/CAD is trading at 1.3328 in the North American session, down 0.22% on the day. The week wrapped up with Canada's May employment report, which usually is released at the same time as the US job data, but had the spotlight to itself today. The data was a disappointment. Canada's economy shed 17,300 jobs, all of which were...
The Canadian dollar is unchanged, trading at 1.3400 in the North American session. The Bank of Canada meets later today, and the money markets are expecting another pause, which would leave the benchmark rate at 4.5%. The BoC's rate-tightening cycle has been on a "conditional pause", which is another way of saying that rate decisions are data-dependent,...
The Australian dollar has extended its rally on Wednesday. AUD/USD is trading at 0.6689, up 0.28%. Today's weak GDP report and soft Chinese trade data haven't spoiled the party, as the Australian dollar is up 1.2% this week. Australia's GDP slowed to 0.2% in the first quarter, down from 0.6% in Q4 2022 and missing the consensus of 0.3%. On an annual basis, GDP...
The Australian dollar continues to roll and has extended its rally on Tuesday. In the European session, AUD/USD is trading at 0.6659, up 0.63% on the day. The Aussie has sparkled in June, surging 2.4%. On the economic calendar, Australia releases GDP early on Wednesday. The markets are expecting a solid gain of 2.7% in the first quarter, up from 2.4% in Q4...
The Canadian dollar is trading close to a two-month low, as the currency remains under pressure. USD/CAD is trading at 1.3646 in the European session, up 0.34%. Canada releases GDP later today, and the markets are projecting a modest 0.4% q/q for the first quarter, after flatlining in Q4 2022. On an annualized basis, GDP is expected to jump by 2.5%, after...
Notice level 0.87000 highs, act as supply level German gdp low UK cpi high Boe seeking to keep rates higher longer Price breaking level 0.86488 will give level 0.85800 demand level.
Analysis of the GDP and SP500, a correlation between GDP growth and SPY valuations. The fast and high that the market moves up in relation to the GDP the quicker and more profound the correction moves.
GBP/USD continues its downswing. The pound is trading at 1.2340, down 0.20% and is at a one-month low against the US dollar. The UK releases retail sales for April on Friday. On an annualized basis, the headline and core readings are expected to decline by 2.8% in April, which would indicate that UK consumers continue to hold tight onto the purse strings....
Fed Minutes at midnight on Thursday and Fed member's speech deliver a hawkish stance. This hawkish stance may be considering raising interest rates or tightening monetary policy with other tools this next half year to pressure the high inflation and cool down the inflation down to a target rate of 2%. This can lead to a stronger US dollar and higher yields on US...
Fundamental Backdrop The Flash Manufacturing PMI is expected to decrease from 50.2 to 50.0 which shows contraction in economic health. The Flash Services PMI is also expected to drop from 53.6 to 52.6. The FOMC Meeting Minutes on Thursday. The FED will talk about future interest rates which was previously indicated to be on pause. Technical Confluences...
Endless trillion of money printing has been ongoing for a long time now. The dangers of this has been the normalization in people's minds that it is somehow natural, good, simulative and healthy. As the charts shows in reality it has never been so unnatural, bad, surprising and unhealthy. During this time we have given a voice to crazy economists (Ie #MMT) that...
The yen woes continue, as the currency has plunged a massive 400 points over the past week. In Thursday's North American session, the yen is trading at 138.52, up 0.60% on the day. USD/JPY hasn't been at such high levels since November 2022. All eyes will be on Japan's Core CPI release early on Friday. This is a key inflation indicator and could move the dial of...
The Japanese yen is on a four-day losing streak and is in negative territory on Wednesday. In the North American session, the yen is trading at 137.39, up 0.74% on the day. Japan's GDP in the first quarter was higher than expected. The economy grew by 1.6% y/y, after a 0.1% decline in Q4 2022 and easily beat the estimate of 0.7%. On a quarterly basis, GDP...
GDP/USD has started the week in positive territory, after a two-day slide that saw the pound lose 1.5%. In the North American session, GBP/USD is trading at 1.2514, up 0.54%. On the economic calendar, it's a fairly quiet start to the week. There are no releases out of the UK. In the US, the Empire State Manufacturing Index slid to -31.8, versus 10.8 prior and an...